As per RBI regulations, the video KYC V-CIP verification process starts with collecting the customer’s consent to use their personal information for verification. To comply with this, there are only two options available for an Organization or Financial Institution (FI) - building their own infrastructure or buying a ready-to-use InfraTech solution for Video KYC. This article represents overall information about build vs buy video KYC infrastructure.

Understanding Video KYC Infrastructure

Video KYC Infrastructure is a framework that starts with onboarding a customer to complete the KYC for a particular session with an end-to-end secure solution. the purpose of a framework differs from user to user according to their scenario.

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Different Needs for BFSI

Requirements of BFSI organizations vary depending on their size and specific needs. For example, consumer fintech startups and small payment union banks may have different priorities than mid-sized or large banks. It's crucial for organizations to carefully consider their unique needs and choose the right video KYC infrastructure.

Build Video KYC Infrastructure

Build Video KYC Infrastructure involves implementing various features and technologies to securely verify identities through video calls.

Implementation Process

To start, it is crucial to follow an effective implementation process. Building an in-house video KYC infrastructure comes with several challenges, ensuring 100% compliance with RBI guidelines is essential. This involves understanding the security measures and requirements set forth by regulatory bodies of the RBI (Reserve Bank of India).

Tech Stack

To ensure compatibility with the desired tech stack, it is important to choose tools and technologies that seamlessly integrate with the chosen components. Leveraging the appropriate technology frameworks like JavaScript, React, React Native, Flutter, Android, iOS ensures compatibility with the tech stack. It can provide a solid foundation for building the video KYC infrastructure.

Software Platform

To develop a web application for video KYC, use open-source platforms like JITSI, JANUS, or any similar private platforms (which is costly). These platforms offer flexibility and customization options, but they come with certain limitations with scalability. For instance, they may lack enterprise-grade security features required for identity verification and fraud prevention

Team of Executives

To build Video KYC Infrastructure, it is important to have a well-structured team in place. They will be responsible for ensuring compliance with regulatory guidelines and integrating necessary features. Team executives will play a crucial role in maintaining Video KYC Infrastructure and implementing and managing the infrastructure.

Challenge of Building In-house KYC Infra v\s Buy Ready-to-use InfraTech Solution

When choosing between building and buying a video KYC infrastructure, organizations must consider factors such as implementation process, tech stack compatibility, software platform features, team requirements, deployment options, compliance management, identity verification capabilities, security measures, scalability, data security, and customization options.

If the video KYC infrastructure is built using JITSI and JANUS's core features, they should add some more layers to be compatible. These must have extra layers that can provide enterprise-grade security features and additional capabilities.

Some examples of extra layers to consider are:

Requirements for Building KYC InfrastructureBuy Ready-to-use InfraTech Framework
Compliance ManagementOrganizations need to incorporate compliance management solutions to ensure regulatory compliance. (Not available in Open Source Platforms)Provides built-in compliance management solutions to ensure regulatory compliance with RBI Guidelines for CERT-in and VAPT acceptance.
Complete On-Premises DeploymentAllows organizations to have complete control over data security by deploying the solution on their own servers. (Sometime lack when high demand)Offers a solution hosted on the provider's servers, ensuring data security and protection.
Face Match ComparisonRequires integrating AI algorithms to compare customer's face with the photo on their government-issued ID for identity verification. Additional integration with third-party identity verification services may be needed.Offers AI-powered face match comparison for identity verification, with integrated third-party identity verification services for enhanced authenticity.
Geo-Location Capture and IP CheckRequires capturing customer's location and performing IP checks to prevent fraud and unauthorized access.Offers built-in geo-location capture and IP check features for fraud prevention.
End-to-End Encryption for VideoRequires implementing advanced encryption algorithms and protocols to secure data exchanged during video calls.Provides end-to-end encryption for video calls to ensure data privacy and security.
Unlimited Video Storage and Instant RetrievalOrganizations need to provide unlimited video storage to meet compliance requirements.Offers unlimited video storage and instant retrieval of video recordings for compliance purposes.
Battling Security ThreatsOrganizations need to implement robust security measures to detect and prevent security threats such as fake identity documents and pre-recorded videos.Provides advanced security measures to battle security threats, ensuring protection against fraud and illegal activities.
Real-Time OVD VerificationRequires instant verification of government-issued identity documents for compliance.Offers real-time verification of government-issued identity documents for regulatory compliance.
Cost AnalysisConsider the cost of hiring and retaining skilled personnel, development tools, infrastructure, and ongoing maintenance.Evaluate the upfront purchase cost, licensing fees, and ongoing subscription or maintenance fees. Compare these costs over time.
Time-to-MarketDeveloping an in-house solution may take longer, especially if it requires research and development from scratch.Purchasing an existing solution can significantly reduce time-to-market as the product is already developed and ready to use.
Customization NeedsIf your organization requires a highly customized solution tailored to specific requirements, building in-house may be the better option.Third-party solutions may have limitations in terms of customization. Evaluate if the available features meet your needs without extensive modification.

Additional Core Regulatory Layers

Build FrameworkBuy Framework
FlexibilityDepends on the organization's requirements and size, requiring high-end customization to support different customer journeys.Offers high-end customization to accommodate diverse customer needs and ensure a smooth and personalized KYC experience.
Auto ScalabilityOrganizations need to ensure their infrastructure can scale up or down based on customer volume.Provides auto scalability to handle sudden spikes in customer volume without performance issues or downtime.
Data SecurityRequires implementing robust data encryption and security measures to protect customer data from unauthorized access or breaches.Ensures data security by implementing robust encryption, firewall proxy support, and purging mechanisms to protect customer data.

So, building a new infrastructure from scratch can be expensive, requiring substantial investments in technology, resources, and expertise. First Layer Solution providers solve this issue very efficiently. By using a ready-to-use infrastructure, organizations can avoid the need to build their own internal stack from scratch and instead leverage a pre-built solution.

Benefits of Buying Ready-to-Use Video KYC InfraTech Solution

One of the significant advantages of opting for a ready-to-use video KYC infrastructure is its cost-effectiveness. This not only streamlines the onboarding process but also reduces operational costs, minimizes fraud, and ensures compliance with regulatory guidelines. The first-layer solution provider offers customization options, scalability, and reliability, allowing organizations to efficiently onboard more customers.

This cost advantage allows organizations to allocate their resources more efficiently and focus on other critical areas of their business. Thus, a ready-to-use infrastructure provides not only the benefits mentioned above but also a cost-effective solution for organizations looking to implement video KYC efficiently.

Which infrastructure solution is Best?

Buying a ready-to-use video KYC infrastructure offers several advantages, and when it comes to choosing the best company to look out for, VideoSDK stands out from the competition. VideoSDK is the one of first InfraTech companies to obtain compliance with CERT-in and VAPT from the RBI. This demonstrates their commitment to maintaining the highest standards of security and regulatory compliance.

By leveraging VideoSDK's pre-built infrastructure, banks, and fintech companies can benefit from a better identity verification SDK or solution without the need to build their own internal stack from scratch. This not only saves time and resources but also ensures a streamlined onboarding process, reduced operational costs, and minimized fraud.

With VideoSDK, organizations can trust in their customization options, scalability, and reliability, enabling them to efficiently onboard more customers while remaining compliant with regulatory guidelines. Choose VideoSDK for a comprehensive and reliable video KYC solution that puts security and compliance at the forefront.


The decision to build or buy video KYC infrastructure is a crucial one for organizations in the BFSI sector. Building an in-house infrastructure requires significant investments in technology, resources, and expertise. On the other hand, buying a ready-to-use solution offers cost-effectiveness, streamlined onboarding processes, reduced operational costs, and compliance with regulatory guidelines.

When considering the best infrastructure solution, VideoSDK stands out as a leading provider. With its comprehensive features and focus on security and compliance, VideoSDK is the ideal choice for organizations looking to implement video KYC infrastructure efficiently.

You can talk with our team if you have any questions regarding Video KYC compliance or Infrastructure.